Utility costs

In business administration, utility costs are the part of the fixed costs that is attributable to the capacity used .

The part that is not used is called the idle cost . The term was coined in 1951 by the business economist Erich Gutenberg . The basis of the subdivision of fixed costs into useful and empty costs is the utilization principle .

Calculation of the utility costs with the help of the degree of employment :

${\displaystyle K_{N}=B_{g}\cdot K_{f}=\left({B_{i} \over B_{v}}\right)\cdot K_{f}}$

${\displaystyle K_{N}}$: Utility costs

${\displaystyle B_{g}}$: Level of employment

${\displaystyle B_{i}}$: Actual employment

${\displaystyle B_{v}}$: Comparative employment

${\displaystyle K_{f}}$: (total) fixed costs

Individual evidence

1. ↑ Erich Gutenberg, Fundamentals of Business Administration , Volume 1: Production, 17th edition 1970, p. 326 f.